MIRA INFORM REPORT
|
Report Date : |
29.03.2014 |
IDENTIFICATION DETAILS
|
Name : |
CRATHCO LTD. |
|
|
|
|
Registered Office : |
8/10 Moo 3, T. Samnakton, A. Banchang, Rayong 21130 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
1998 |
|
|
|
|
Com. Reg. No.: |
0105541040522 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Exporter and Distributor of Cold and
Frozen Beverage Dispensing Machines |
|
|
|
|
No. of Employees : |
90 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Status : |
Good |
|
Payment Behaviour : |
Regular |
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND - ECONOMIC OVERVIEW
With a well-developed
infrastructure, a free-enterprise economy, generally pro-investment policies,
and strong export industries, Thailand achieved steady growth due largely to
industrial and agriculture exports - mostly electronics, agricultural
commodities, automobiles and parts, and processed foods. Unemployment, at less
than 1% of the labor force, stands as one of the lowest levels in the world,
which puts upward pressure on wages in some industries. Thailand also attracts
nearly 2.5 million migrant workers from neighboring countries. The Thai
government is implementing a nation-wide 300 baht ($10) per day minimum wage
policy and deploying new tax reforms designed to lower rates on middle-income
earners. The Thai economy has weathered internal and external economic shocks
in recent years. The global economic recession severely cut Thailand's exports,
with most sectors experiencing double-digit drops. In late 2011 Thailand's
recovery was interrupted by historic flooding in the industrial areas in
Bangkok and its five surrounding provinces, crippling the manufacturing sector.
The government approved flood mitigation projects worth $11.7 billion, which
were started in 2012, to prevent similar economic damage, and an additional $75
billion for infrastructure over the following seven years.
|
Source
: CIA |
Company
name and address
CRATHCO LTD.
SUMMARY
BUSINESS ADDRESS : 8/10 MOO 3, T.
SAMNAKTON, A. BANCHANG,
RAYONG 21130,
THAILAND
TELEPHONE
: [66] 38
604-370, 38 943-222
FAX : [66] 38
943-229
E-MAIL ADDRESS : crathco@gmcw.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 1998
REGISTRATION NO. : 0105541040522
TAX ID NO. : 3011953518
CAPITAL REGISTERED : BHT.
10,000,000
CAPITAL PAID-UP : BHT.
10,000,000
SHAREHOLDER’S PROPORTION : AMERICAN :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. BARRY JON
SOANES, BRITISH
GENERAL MANAGER
NO. OF STAFF : 90
LINES OF BUSINESS : COLD
AND FROZEN BEVERAGE
DISPENSING
MACHINES
MANUFACTURER, EXPORTER
AND DISTRIBUTOR
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT
WITH GOOD PERFORMANCE
HISTORY
The subject was
established on July
1, 1998 as
a private limited
company under the
registered name CRATHCO
LTD., by American
group, with the
business objective to
manufacture and distribute
cold and frozen
beverage dispensing machines
to both domestic
and international markets.
It currently employs
approximately 90 staff.
The subject’s registered
address is 8/10 Moo 3,
T. Samnakton, A. Banchang, Rayong
21130, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Barry Jon Soanes |
|
British |
62 |
|
Mr. Nazih Ibrahim |
|
American |
60 |
|
Mr. Justin Marc Kaplan |
|
American |
38 |
|
Mr. Paul Echausse |
|
American |
53 |
|
Mr. Siwakorn Chomchuen |
|
Thai |
50 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Barry Jon Soanes
is the General
Manager.
He is British
nationality with the
age of 62
years old.
Mr. Kiattiphum Nilamai is
the Factory Manager.
He is Thai
nationality.
Ms. Racharak Songthip is
the Customer Service
Manager.
She is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing, distributing
and exporting of
cold and frozen
beverage dispensing machines
for juice, tea,
coffee, soft drink
and etc.
BRAND NAME
“CRATHCO”
PURCHASE
Its raw materials,
related equipment and
spare parts are
purchased from both
local and overseas
suppliers, mainly in
Republic of China,
Japan, India, Taiwan
and Germany
SALES
80% of the
products is exported
to U.S.A., Singapore,
Malaysia, Hong Kong,
Taiwan, Japan, Indonesia
and the countries
in Europe, the
remaining 20% is
sold locally.
MAJOR CUSTOMER
CP All Public
Company Limited
Nestle Group
SUBSIDIARY AND
AFFILIATED COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past five years.
Others
There are no
legal suits filed
against the subject
according for the
past two years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the credits term
of 30-60 days.
Imports are by
T/T.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The subject currently
employs approximately 90
staff.
LOCATION DETAILS
The premise is
owned for administrative
office, factory and
warehouse at the
heading address. Premise
is located in
provincial.
COMMENT
The subject has
good business opportunity
with strong consumption of the products.
Demand has been
continuing increased due
to the products have high quality
and they are
well known among the
users.
Economy sluggish was
pointed to slow
growth of the
subject’s sales in
the previous year. However,
market of the
products remains promising
in long term
prospect.
FINANCIAL INFORMATION
The capital was
registered at Bht.
2,000,000 divided into 20,000
shares of Bht. 100 each with
fully paid.
On August 20,
1998, the registered
capital was increased
to Bht. 10,000,000 divided
into 100,000 shares
of Bht. 100 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE
[as at
February 7, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Grindmaster Corporation Nationality: American Address :
4003 Collins Lane,
Louisville, Kentucky, U.S.A. |
99,998 |
100.00 |
|
Mr. Nazih Ibrahim Nationality: American Address : 4003
Collins Lane, Louisville,
Kentucky, U.S.A. |
1 |
- |
|
Mr. Paul Echausse Nationality: Thai Address : 4003
Collins Lane, Louisville,
Kentucky, U.S.A. |
1 |
- |
Total Shareholders : 3
Share Structure [as
at February 7, 2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign-American |
3 |
100,000 |
100.00 |
|
Total |
3 |
100,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr. Teerapong
Kaewratanapatama No. 2501
BALANCE
SHEET [BAHT]
The latest financial
figures published for
December 31, 2012,
2011 & 2010
were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalents
|
76,980 |
76,780 |
6,561,990 |
|
Trade Account & Other
Receivable |
550,134,431 |
563,009,932 |
442,445,702 |
|
Inventories |
87,829,481 |
61,084,010 |
61,880,244 |
|
Other Current Assets
|
690,220 |
1,344,643 |
1,108,636 |
|
|
|
|
|
|
Total Current Assets
|
638,731,112 |
625,515,365 |
511,996,572 |
|
Fixed Assets |
59,715,295 |
59,362,201 |
64,289,239 |
|
Other Non-current Assets |
459,037 |
681,740 |
967,703 |
|
Total Assets |
698,905,444 |
685,559,306 |
577,253,514 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Financial Institution |
52,975,615 |
41,429,028 |
- |
|
Trade Account & Other
Payable |
81,045,471 |
157,259,619 |
138,861,941 |
|
Current Portion of
Long-term Loan |
4,500,000 |
4,500,000 |
4,500,000 |
|
Accrued Income Tax |
15,270,584 |
8,884,285 |
2,514,964 |
|
Other Current Liabilities |
553,235 |
226,564 |
12,525,791 |
|
|
|
|
|
|
Total Current Liabilities |
154,344,905 |
212,299,496 |
158,402,696 |
|
Long-term Loan - Net
of Current Portion |
17,625,000 |
22,125,000 |
26,625,000 |
|
Employee Benefit Obligation |
3,810,313 |
2,481,250 |
- |
|
Total Liabilities |
175,780,218 |
236,905,746 |
185,027,696 |
|
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 100,000 shares |
10,000,000 |
10,000,000 |
10,000,000 |
|
|
|
|
|
|
Capital Paid |
10,000,000 |
10,000,000 |
10,000,000 |
|
Retained Earning |
|
|
|
|
- Statutory Reserve |
2,000,000 |
2,000,000 |
2,000,000 |
|
- Unappropriated [Deficit] |
511,125,226 |
436,653,560 |
380,225,818 |
|
Total Shareholders’ Equity |
523,125,226 |
448,653,560 |
392,225,818 |
|
Total Liabilities &
Shareholders’ Equity |
698,905,444 |
685,559,306 |
577,253,514 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales |
595,447,581 |
362,190,019 |
403,895,396 |
|
Gain on Exchange
Rate |
- |
21,460,168 |
- |
|
Other Income |
2,539,258 |
147,482 |
722,900 |
|
Total Revenues |
597,986,839 |
383,797,669 |
404,618,296 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
431,399,077 |
276,390,676 |
296,112,511 |
|
Selling & Administrative Expenses |
48,000,220 |
32,568,880 |
30,240,852 |
|
Cost of Service
on Previous Employee
Benefits |
- |
2,465,625 |
- |
|
Loss on Exchange Rate |
17,591,009 |
- |
34,209,938 |
|
Total Expenses |
496,990,306 |
311,425,181 |
360,563,301 |
|
|
|
|
|
|
Profit / Loss] before Financial
Cost & Income Tax |
100,996,533 |
72,372,488 |
44,054,995 |
|
Financial Cost |
[3,532,276] |
[2,685,644 |
[1,653,054] |
|
|
|
|
|
|
Profit / [Loss] before Income Tax
|
97,464,257 |
69,686,844 |
42,401,941 |
|
Income Tax |
[22,992,591] |
[13,259,102] |
[8,743,560] |
|
Net Profit / [Loss] |
74,471,666 |
56,427,742 |
33,658,381 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.14 |
2.95 |
3.23 |
|
QUICK RATIO |
TIMES |
3.56 |
2.65 |
2.83 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
9.97 |
6.10 |
6.28 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.85 |
0.53 |
0.70 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
74.31 |
80.67 |
76.28 |
|
INVENTORY TURNOVER |
TIMES |
4.91 |
4.52 |
4.79 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
337.22 |
567.38 |
399.84 |
|
RECEIVABLES TURNOVER |
TIMES |
1.08 |
0.64 |
0.91 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
68.57 |
207.68 |
171.17 |
|
CASH CONVERSION CYCLE |
DAYS |
342.96 |
440.37 |
304.95 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
72.45 |
76.31 |
73.31 |
|
SELLING & ADMINISTRATION |
% |
8.06 |
8.99 |
7.49 |
|
INTEREST |
% |
0.59 |
0.74 |
0.41 |
|
GROSS PROFIT MARGIN |
% |
27.98 |
29.65 |
26.86 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
16.96 |
19.98 |
10.91 |
|
NET PROFIT MARGIN |
% |
12.51 |
15.58 |
8.33 |
|
RETURN ON EQUITY |
% |
14.24 |
12.58 |
8.58 |
|
RETURN ON ASSET |
% |
10.66 |
8.23 |
5.83 |
|
EARNING PER SHARE |
BAHT |
744.72 |
564.28 |
336.58 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.25 |
0.35 |
0.32 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.34 |
0.53 |
0.47 |
|
TIME INTEREST EARNED |
TIMES |
28.59 |
26.95 |
26.65 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
64.40 |
(10.33) |
|
|
OPERATING PROFIT |
% |
39.55 |
64.28 |
|
|
NET PROFIT |
% |
31.98 |
67.65 |
|
|
FIXED ASSETS |
% |
0.59 |
(7.66) |
|
|
TOTAL ASSETS |
% |
1.95 |
18.76 |
|
ANNUAL
GROWTH : EXCELLENT
An annual sales growth is 64.4%. Turnover has increased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
27.98 |
Impressive |
Industrial Average |
18.71 |
|
Net Profit Margin |
12.51 |
Impressive |
Industrial Average |
5.80 |
|
Return on Assets |
10.66 |
Impressive |
Industrial Average |
10.07 |
|
Return on Equity |
14.24 |
Satisfactory |
Industrial Average |
17.88 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues after accounting for
the cost of goods sold. Gross profit margin serves as the source for paying
additional expenses and future savings. The
company’s figure is 27.98%. When
compared with the industry average, the ratio of the company was higher,
indicated that company was more profitable than the same industry.
Net Profit Margin is the indicator of the company's efficiency in that
net profit takes into consideration all expenses of the company. A low profit
margin indicates a low margin of safety, higher risk that a decline in sales
will erase profits and result in a net loss. The company’s figure is 12.51%, higher figure when compared with
those of its average competitors in the same industry, indicated that business
was an efficient operator in a dominant
position within its industry.
Return on Assets measures how efficiently profits are being generated
from the assets employed in the business when compared with the ratios of firms
in a similar business. A low ratio in comparison with industry averages
indicates an inefficient use of business assets. Return on Assets ratio is
10.66%, higher figure when compared with those of its average competitors in
the same industry, indicated that business was an efficient profit in a dominant position within its industry.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. When compared with the
industry average, it was lower, the company's figure is 14.24%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
4.14 |
Impressive |
Industrial Average |
1.86 |
|
Quick Ratio |
3.56 |
|
|
|
|
Cash Conversion Cycle |
342.96 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets
are readily available to pay off its short-term liabilities. The company's figure
is 4.14 times in 2012, increased from 2.95 times, then it is generally
considered to have good short-term financial strength. When compared with the
industry average, the ratio of the company was higher, indicated that company
was an efficient operator in a dominant position within its industry.
The Quick Ratio is a liquidity indicator that further refines the
current ratio by measuring the amount of the most liquid current assets there
are to cover current liabilities. The company's figure is 3.56 times in 2012,
increased from 2.65 times, although excluding inventory so the company still
have good short-term financial strength.
The Cash Conversion Cycle measures the number of days a company's cash
is tied up in the production and sales process of its operations and the
benefit from payment terms from its creditors. It meant the company could
survive when no cash inflow was received from sale for 343 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.25 |
Impressive |
Industrial Average |
0.43 |
|
Debt to Equity Ratio |
0.34 |
Impressive |
Industrial Average |
0.74 |
|
Times Interest Earned |
28.59 |
Impressive |
Industrial Average |
- |
Debt to Equity Ratio a measurement of how much suppliers, lenders, creditors
and obligors have committed to the company versus what the shareholders have
committed. A lower the percentage means that the company is using less leverage
and has a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 28.6 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.25 less than 0.5, most of the company's
assets are financed through equity.
Trend of the average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Stable
ACTIVITY :
ACCEPTABLE
ACTIVITY RATIO
|
Fixed Assets Turnover |
9.97 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
0.85 |
Deteriorated |
Industrial Average |
1.74 |
|
Inventory Conversion Period |
74.31 |
|
|
|
|
Inventory Turnover |
4.91 |
Acceptable |
Industrial Average |
7.34 |
|
Receivables Conversion Period |
337.22 |
|
|
|
|
Receivables Turnover |
1.08 |
Deteriorated |
Industrial Average |
4.78 |
|
Payables Conversion Period |
68.57 |
|
|
|
The company's Account Receivable Ratio is calculated as 1.08 and
Inventory Turnover in Days Ratio indicates the liquidity of inventory.
It estimates the number of days that it will take to sell the current
inventory. Inventory is particularly sensitive to change in business
activities. The inventory turnover in days has decreased from 81 days at the
end of 2011 to 74 days at the end of 2012. This represents a positive trend.
And Inventory turnover has increased from 4.52 times in year 2011 to 4.91 times
in year 2012.
The company's Total Asset Turnover is calculated as 0.85 times and 0.53
times in 2012 and 2011 respectively. This ratio is determined by dividing total
assets into total sales turnover. The ratio measures the activity of the assets
and the ability of the firm to generate sales through the use of the assets.
Trend of the average competitors in the same industry for last 5 years
Fixed Assets Turnover Stable
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.10 |
|
|
1 |
Rs.99.85 |
|
Euro |
1 |
Rs.82.58 |
INFORMATION DETAILS
|
Report Prepared
by : |
NNA |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial &
operational base are regarded healthy. General unfavourable factors will not cause
fatal effect. Satisfactory capability for payment of interest and principal
sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.